Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow was substantially higher than revenue, resulting in a free cash flow margin above one hundred percent. Capital expenditure remained stable, while free cash flow improved significantly from the prior quarter but was lower than the same quarter last year.
- Revenue was modest, yet operating cash flow far exceeded it, driving a free cash flow margin above one hundred percent. Capital expenditure was a moderate portion of operating cash flow, leaving ample free cash flow.
- Compared to the prior quarter, operating cash flow and free cash flow were substantially higher, while revenue was nearly unchanged. Versus the same quarter one year earlier, operating cash flow and free cash flow were lower, though revenue was higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$2.2B
Trailing twelve-month free cash flow.
Quarter free cash flow
$793.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$952.0M
Cash generated by operations before capital spending.
CapEx
$159.0M
Capital spending and related asset purchases.
FCF margin
111.5%
The share of revenue converted into free cash flow.
Cash flow trend
A short quarterly history shows whether FCF is scaling with revenue or only spiking for one period.
| Period | Revenue | Operating CF | CapEx | FCF | FCF margin |
|---|---|---|---|---|---|
| 2023-09-30 | $537.0M | $1.3B | $164.0M | $1.1B | 207.3% |
| 2023-12-31 | $700.0M | $477.0M | $223.0M | $254.0M | 36.3% |
| 2024-03-31 | $710.0M | $198.0M | $159.0M | $39.0M | 5.5% |
| 2024-06-30 | $711.0M | $952.0M | $159.0M | $793.0M | 111.5% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 214.9% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 22.4% | Lower capital intensity usually supports FCF margin. |
| Net cash | n/a | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Strong Operating Cash Flow
Operating cash flow was the strongest observable driver, far exceeding revenue and capital expenditure, which produced a free cash flow margin above one hundred percent.
This driver enabled free cash flow to be substantially higher than revenue, despite stable capital expenditure.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was modest, yet operating cash flow far exceeded it, driving a free cash flow margin above one hundred percent. Capital expenditure was a moderate portion of operating cash flow, leaving ample free cash flow.
Compared to the prior quarter, operating cash flow and free cash flow were substantially higher, while revenue was nearly unchanged. Versus the same quarter one year earlier, operating cash flow and free cash flow were lower, though revenue was higher.
Monitor whether operating cash flow can sustain its elevated level relative to revenue in future quarters.